Citations Affected: IC 27-8.
Synopsis: Premium payments to ICHIA. Allows an individual to pay
the premium for an Indiana comprehensive health insurance
association (ICHIA) policy in cash, by bank draft, by check, by
cashier's check, by money order, or by credit card, debit card, charge
card, or a similar method. Specifies that liability for a payment is not
discharged until the association receives the payment. Allows the
association to contract with a bank or credit card vendor for acceptance
of bank cards or credit cards, and that any fees charged for use of the
card may be charged to the individual. Requires a receipt to be issued
to an individual who makes a cash payment.
Effective: July 1, 2001.
January 17, 2001, read first time and referred to Committee on Insurance, Corporations and
Small Business.
February 8, 2001, reported _ Do Pass.
A BILL FOR AN ACT to amend the Indiana Code concerning
insurance.
discharged and the individual has not paid the premium until the
association receives payment or credit from the institution
responsible for making the payment or credit.
(b) The association may contract with a bank or credit card
vendor for acceptance of bank or credit cards. However, if there is
a vendor transaction charge or discount fee, whether billed to the
association or charged directly to the association's account, the
association or credit card vendor may collect from the individual
using the bank or credit card a fee that may not exceed the highest
transaction charge or discount fee charged to the association by the
bank or credit card vendor during the most recent collection
period. This fee may be collected regardless of any agreement
between the bank and a credit card vendor or regardless of any
internal policy of the credit card vendor that may prohibit this type
of fee. The fee is a permitted additional charge under
IC 24-4.5-3-202.
(c) The association shall issue a receipt for a premium payment
that is made with currency.